Per share amounts are reported on a diluted basis. Allamounts
are attributable to The Williams Companies, Inc.

millions

per share

millions

per share

Income from continuing operations

$

723

$

1.15

$

803

$

1.34

Income (loss) from discontinued operations

136

0.22

(427

)

(0.71

)

Net income

$

859

$

1.37

$

376

$

0.63

Adjusted income from continuing operations*

$

695

$

1.11

$

734

$

1.23

Quarterly Summary Financial Information

4Q 2012

4Q 2011

Per share amounts are reported on a diluted basis.All
amounts are attributable to The Williams Companies, Inc.

millions

per share

millions

per share

Income from continuing operations

$

151

$

0.23

$

79

$

0.13

Loss from discontinued operations

(2

)

−

(523

)

(0.87

)

Net income (loss)

$

149

$

0.23

($444

)

($0.74

)

Adjusted income from continuing operations*

$

160

$

0.25

$

214

$

0.36

* A schedule reconciling income from continuing operations to
adjusted income from continuing operations (non-GAAP measures) is
available at www.williams.com
and as an attachment to this press release.

Williams
(NYSE: WMB) announced 2012 unaudited net income attributable to Williams
of $859 million, or $1.37 per share on a diluted basis, compared with
net income of $376 million, or $0.63 per share on a diluted basis for
2011.

The increase in net income for 2012 was primarily due to the absence of
a $427 million loss from discontinued operations in 2011. The
significant loss from discontinued operations in 2011 was primarily due
to significant non-cash property impairment and other charges associated
with Williams’ former exploration and production business. The 2012 net
income also benefited from $136 million of income from discontinued
operations, primarily due to gains following the sale of certain of our
former Venezuela operations.

For fourth-quarter 2012, Williams reported net income of $149 million,
or $0.23 per share on a diluted basis, compared with a net loss of $444
million, or a loss of $0.74 per share, for fourth-quarter 2011.

The substantial increase in net income during the fourth quarter of 2012
is due to the absence of the previously described non-cash property
impairment and other charges associated with Williams’ former
exploration and production business recorded in fourth-quarter 2011.

Adjusted Income from Continuing Operations

Adjusted income from continuing operations was $695 million, or $1.11
per share, for 2012, compared with $734 million, or $1.23 per share for
2011. For fourth-quarter 2012, adjusted income from continuing
operations was $160 million, or $0.25 per share, compared with $214
million, or $0.36 per share for fourth quarter 2011.

Lower NGL margins at Williams Partners and increased costs, partially
offset by higher fee-based revenue and increased olefin margins, drove
the decline in adjusted income from continuing operations during the
2012 periods. There is a more detailed description of the business
results later in this press release.

Adjusted income from continuing operations reflects the removal of items
considered unrepresentative of ongoing operations and is a non-GAAP
measure. Reconciliation to the most relevant GAAP measure is attached to
this news release.

CEO Comment

Alan
Armstrong, Williams’ president and chief executive officer, made the
following comments:

“This past year was one of significant growth and change at Williams. We
spun off WPX Energy at the end of 2011 and followed that up by seizing
on a significant number of strategic growth opportunities. Our focus now
is executing on our portfolio of great growth projects across of our
operating areas – from the Marcellus and Utica Shale and Canada to the
deepwater Gulf of Mexico.

“We’ve reaffirmed our annual dividend growth guidance of 20 percent in
each of 2013 and 2014 in the face of sharply lower ethane and propane
prices. We’re basing our strong dividend growth outlook on the continued
rapid growth of our fee-based business and the strong mitigating effect
of the Geismar ethylene complex. We also continue to expect strong
growth in 2014 and beyond as we place into service the large-scale
projects that are currently under construction. As well, recent
investments, including Access Midstream and Caiman II, serve to sustain
our long-term growth.

“There continues to be significant demand for energy infrastructure to
connect North America’s prolific shale plays to growing markets, from
power generation to petrochemical manufacturing. Williams is
well-positioned to provide the kind of large-scale infrastructure
solutions that are needed to meet demand,” Armstrong said.

Capital expenditures for 2013-14 are increasing, primarily due to
increases of approximately $220 million in 2013 and $210 million in 2014
associated with a change in the forecasting presentation for Williams
Partners’ Gulfstar FPS and Constitution Pipeline projects. Previous
capital expenditure guidance only reflected Williams Partners’
51-percent interest in Gulfstar and its 51-percent interest in
Constitution. While Williams Partners’ interests in each project are
unchanged, the new guidance reflects Gulfstar and Constitution on a
fully consolidated basis with our partners non-controlling interests
reflected separately. The capital increases associated with this
presentation change will be fully offset by capital contributions from
the partners on each project.

Amortization adjustment for Access Midstream Partners reflects the
amortization of the basis difference between Williams' investment
and its proportional share of the underlying net assets.

(5)

Adjusted Segment Profit and Adjusted Diluted EPS are adjusted to
remove items considered unrepresentative of ongoing operations and
are non-GAAP measures. Reconciliations to the most relevant GAAP
measures are attached to this news release.

The Williams Partners segment includes the consolidated results of Williams
Partners L.P. (NYSE:WPZ); Williams NGL & Petchem Services includes
the results of Williams’ Canadian midstream and NGL/olefin pipelines in
the U.S. Gulf Coast region; and Access Midstream Partners includes the
company’s equity earnings from its 50-percent indirect interest in
privately held Access Midstream Partners GP, L.L.C. and its approximate
24-percent limited-partner interest in Access Midstream Partners, LP
(NYSE: ACMP). Results have been recast to reflect Williams Partners
L.P.’s (NYSE:WPZ) acquisition of Williams’ Gulf Olefins business, which
was completed in November 2012.

Consolidated Segment Profit

Full Year

4Q

Amounts in millions

2012

2011

2012

2011

Williams Partners

$

1,812

$

2,035

$

441

$

540

Williams NGL & Petchem Services

99

157

27

54

Access Midstream Partners

-

-

-

-

Other

49

24

(12

)

1

Consolidated Segment Profit

$

1,960

$

2,216

$

456

$

595

Adjusted Consolidated Segment Profit*

Full Year

4Q

Amounts in millions

2012

2011

2012

2011

Williams Partners

$

1,849

$

2,046

$

449

$

542

Williams NGL & Petchem Services

99

138

27

35

Access Midstream Partners

-

-

-

-

Other

(4

)

13

(12

)

1

Adjusted Consolidated Segment Profit

$

1,944

$

2,197

$

464

$

578

* A schedule reconciling segment profit to adjusted segment profit
(non-GAAP measure) is available at www.williams.com
and as an attachment to this press release.

The decline in Williams Partners’ segment profit during 2012 periods is
due to a significant decline in NGL margins, which led to lower results
in the partnership’s midstream business. A substantial decline in NGL
prices was the key driver of the lower NGL margins in 2012. Higher
expenses associated with developing businesses acquired earlier in the
year also contributed to the lower results in 2012.

An increase in fee-based revenue, including a fourth-quarter 2012
increase of 18 percent in the partnership’s midstream business,
partially offset the impacts of lower NGL prices and other factors.
Higher olefin margins from the recently acquired Gulf Olefin assets also
helped mitigate the impact of the lower NGL margins and higher expenses.

Key Operational Metrics

2011

2012

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

4Q Change

Fee-based Revenues (millions)

Year-over-year

Sequential

Gas Pipeline

$

361

$

359

$

368

$

384

$

384

$

366

$

372

$

392

2.1

%

5.4

%

Midstream Gas & Liquids

223

235

257

255

267

281

287

302

18.4

%

5.2

%

Total

$

584

$

594

$

625

$

639

$

651

$

647

$

659

$

694

8.6

%

5.3

%

NGL Margins

NGL margins (millions)

$

207

$

253

$

234

$

287

$

242

$

189

$

167

$

154

-46.3

%

-7.8

%

NGL equity volumes (gallons in millions)

289

308

274

317

308

295

301

279

-12.0

%

-7.3

%

Per-unit NGL margins ($/gallon)

$

0.71

$

0.83

$

0.85

$

0.91

$

0.79

$

0.64

$

0.55

$

0.55

-39.6

%

0.0

%

The increase in fee-based revenues during 2012 was primarily due to
higher volumes in the Marcellus Shale area including new volumes on
Williams Partners’ recently acquired Ohio Valley Midstream system and
Susquehanna Supply Hub gathering assets.

There is a more detailed description of Williams Partners’ interstate
gas pipeline and midstream business results in the partnership’s
year-end 2012 financial results news release, which is also being issued
today.

Williams NGL & Petchem Services reported segment profit of $99 million
for 2012, compared with $157 million for 2011. For the fourth quarter of
2012, Williams NGL & Petchem Services reported segment profit of $27
million, compared with $54 million for the fourth quarter of 2011.

The decline in segment profit during the 2012 periods was due to lower
Canadian NGL and propylene product margins driven by lower per-unit
sales prices. These factors were partially offset by higher propylene
sales volumes.

Other

The Other segment benefited from gains related to the 2010 sale of the
company’s Accroven investment in Venezuela of $53 million in 2012 and
$11 million in 2011.

Williams’ year-end 2012 financial results package will be posted shortly
at www.williams.com.
The package will include the data book and analyst package, and the
investor presentation with a recorded commentary from CEO Alan Armstrong.

Williams and Williams Partners L.P. will host a joint Q&A live webcast
on Thursday, Feb. 21 at 9:30 a.m. EST. A limited number of phone lines
will be available at (888) 401-4690. International callers should dial
(719) 325-2461. A link to the live year-end webcast, as well as replays
of the webcast in both streaming and downloadable podcast formats will
be available for two weeks following the event at www.williams.com and www.williamslp.com.

Form 10-K

The company plans to file its 2012 Form 10-K with the Securities and
Exchange Commission next week. Once filed, the document will be
available on both the SEC and Williams websites.

Non-GAAP Measures

This press release includes certain financial measures – adjusted
segment profit, adjusted income from continuing operations (“earnings”)
and adjusted earnings per share – that are non-GAAP financial measures
as defined under the rules of the Securities and Exchange Commission.
Adjusted segment profit, adjusted earnings and adjusted earnings per
share measures exclude items of income or loss that the company
characterizes as unrepresentative of its ongoing operations. Management
believes these measures provide investors meaningful insight into the
company's results from ongoing operations.

This press release is accompanied by a reconciliation of these non-GAAP
financial measures to their nearest GAAP financial measures. Management
uses these financial measures because they are widely accepted financial
indicators used by investors to compare a company’s performance. In
addition, management believes that these measures provide investors an
enhanced perspective of the operating performance of the company and aid
investor understanding. Neither adjusted segment profit, adjusted
earnings, nor adjusted earnings per share measures are intended to
represent an alternative to segment profit, net income or earnings per
share. They should not be considered in isolation or as substitutes for
a measure of performance prepared in accordance with United States
generally accepted accounting principles.

Williams is one of the leading energy infrastructure companies in North
America. It owns interests in or operates 15,000 miles of interstate gas
pipelines, 1,000 miles of NGL transportation pipelines, and more than
10,000 miles of oil and gas gathering pipelines. The company’s
facilities have daily gas processing capacity of 6.6 billion cubic feet
of natural gas and NGL production of more than 200,000 barrels per day.
Williams owns approximately 70 percent of Williams Partners L.P. (NYSE:
WPZ), one of the largest diversified energy master limited partnerships.
Williams Partners owns most of Williams’ interstate gas pipeline and
domestic midstream assets. The company’s headquarters is in Tulsa, Okla.
More information is available at www.williams.com,
where the company routinely posts important information.

Our reports, filings, and other public announcements may include
"forward-looking statements" within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended. These forward-looking statements
relate to anticipated financial performance, management's plans and
objectives for future operations, business prospects, outcome of
regulatory proceedings, market conditions and other matters. We make
these forward-looking statements in reliance on the safe harbor
protections provided under the Private Securities Litigation Reform Act
of 1995.

All statements, other than statements of historical facts, included
in this report that address activities, events or developments that we
expect, believe or anticipate will exist or may occur in the future, are
forward-looking statements. Forward-looking statements can be identified
by various forms of words such as "anticipates," "believes," "seeks,"
"could," "may," "should," "continues," "estimates," "expects,"
"assumes," "forecasts," "intends," "might," "goals," "objectives,"
"targets," "planned," "potential," "projects," "scheduled," "will,"
“assumes,” "guidance," "outlook," "in service date" or other similar
expressions. These forward-looking statements are based on management's
beliefs and assumptions and on information currently available to
management and include, among others, statements regarding:

Amounts and nature of future capital expenditures;

Expansion and growth of our business and operations;

Financial condition and liquidity;

Business strategy;

Cash flow from operations or results of operations;

The levels of dividends to stockholders;

Seasonality of certain business components;

Natural gas, natural gas liquids and olefins prices and demand.

Forward-looking statements are based on numerous assumptions,
uncertainties and risks that could cause future events or results to be
materially different from those stated or implied in this report. Many
of the factors that will determine these results are beyond our ability
to control or predict. Specific factors that could cause actual results
to differ from results contemplated by the forward-looking statements
include, among others, the following:

Whether we have sufficient cash to enable us to pay current and
expected levels of dividends;

Availability of supplies, market demand, volatility of prices, and
the availability and cost of capital;

Inflation, interest rates, fluctuation in foreign exchange, and
general economic conditions (including future disruptions and
volatility in the global credit markets and the impact of these events
on our customers and suppliers);

The strength and financial resources of our competitors;

Ability to acquire new businesses and assets and integrate those
operations and assets into our existing businesses, as well as expand
our facilities;

Risks related to strategy and financing, including restrictions
stemming from our debt agreements, future changes in our credit
ratings and the availability and cost of credit;

The amount of cash distributions from and capital requirements of
our investments and joint ventures in which we participate;

Risks associated with future weather conditions;

Acts of terrorism, including cybersecurity threats and related
disruptions;

Additional risks described in our filings with the Securities and
Exchange Commission.

Given the uncertainties and risk factors that could cause our actual
results to differ materially from those contained in any forward-looking
statement, we caution investors not to unduly rely on our
forward-looking statements. We disclaim any obligations to and do not
intend to update the above list or to announce publicly the result of
any revisions to any of the forward-looking statements to reflect future
events or developments.

In addition to causing our actual results to differ, the factors
listed above may cause our intentions to change from those statements of
intention set forth in this announcement. Such changes in our intentions
may also cause our results to differ. We may change our intentions, at
any time and without notice, based upon changes in such factors, our
assumptions, or otherwise.

Investors are urged to closely consider the disclosures and risk
factors in our annual report on Form 10-K filed with the SEC on Feb. 28,
2012, and our quarterly reports on Form 10-Q available from our offices
or from our website at www.williams.com.

2013 forecast guidance - reported to adjusted

February 20

Dollars in millions

Reported

Adjustment

Adjusted

Low - High

Items

Low - High

Segment profit

$1,700 - 2,250

-

$1,700 - 2,250

Net interest expense

(520) - (535)

-

(520) - (535)

General corporate/other/rounding

(140) - (150)

-

(140) - (150)

Pretax income

1,040 - 1,565

-

1,040 - 1,565

Provision for income tax

(325) - (445)

-

(325) - (445)

Income from continuing operations

$715 - 1,120

$0

$715 - 1,120

Net income attributable to noncontrolling interests

(200) - (330)

-

(200) - (330)

Amounts attributable to Williams:

Income from continuing operations

$515 - 790

$0

$515 - 790

Adjusted Diluted EPS

$0.75-1.15

$0.75-1.15

Segment profit guidance – reported to adjusted

Dollars in millions

2013 Guidance

2014 Guidance

Low

Midpoint

High

Low

Midpoint

High

Reported segment profit:

Williams Partners (WPZ)

$

1,625

$

1,838

$

2,050

$

2,300

$

2,575

$

2,850

NGL & Petchem Services

50

100

150

95

155

215

Access Midstream Partners

25

38

50

80

95

110

Other

-

-

-

-

-

-

Total Reported segment profit

1,700

1,975

2,250

2,475

2,825

3,175

Adjustments:

Total Williams Partners Adjustments

-

-

-

-

-

-

Total NGL & Petchem Services Adjustments

-

-

-

-

-

-

Total Access Midstream Partners Adjustments

-

-

-

-

-

-

Total "Other" Adjustments

-

-

-

-

-

-

Total Adjustments

-

-

-

-

-

-

Adjusted segment profit:

Williams Partners (WPZ)

1,625

1,838

2,050

2,300

2,575

2,850

NGL & Petchem Services

50

100

150

95

155

215

Access Midstream Partners

25

38

50

80

95

110

Other

-

-

-

-

-

-

Total Adjusted segment profit

$

1,700

$

1,975

$

2,250

$

2,475

$

2,825

$

3,175

Reconciliation of forecasted reported income from continuing
operations